On July 30th, the president of the Group was invited by the CPC Committee and the People’s Government of Darhan Muminggan Joint Banner to attend the 35th Naadam Fair in Darhan Muminggan Joint Banner, Inner Mongolia and start a week-long business visit. Senior executives of the Group and heads of relevant subsidiaries accompanied the delegation through the entire visit. This expedition centered on major areas of Sino-Mongolian energy trade for the purpose of deepening commercial cooperation, exploring new methods for shared development, and proactively responding with the national“Belt and Road Initiative”as well as the strategic policy of deepening opening-up to the north.  

Gathering for collaboration

At the beginning of the inspection, the delegation of the Group’s leadership was invited to attend the opening ceremony of the 35th Naadam Fair of Darhan Muminggan Joint Banner with representatives from various fields of the local community in celebrating this grand event and experiencing the rich ethnic culture and development vitality. 

During this period, the two sides held a practical and efficient business seminar. During the seminar, leaders of the Group engaged in in-depth exchanges regarding the current progress of the cooperation agreement which was reached previously with relevant officials from Darhan Muminggan Joint Banner. The seminar focused on the Group’s cross-border energy trade, efficient operation of customs-supervised warehouse, trial flights of unmanned heavy-lift cargo aircraft, as well as the development and utilization of traceable traditional Chinese medicinal material resources. Both parties further clarified the specific methods in order to ensure that the projects are solidly implemented and achieve outcomes as soon as possible. 

Developing port services to advance cross-border energy trade

After the seminar, leaders of the Group drove to Mandula, a major port town located on the Sino-Mongolian frontier, to conduct an on-site inspection of the Mandula port customs supervised warehouses operated by the partner company, The Northern International Group. As an important node within the system of Sino-Mongolian cross-border energy trade, the delegation thoroughly evaluated its current operation status, customs clearances efficiency, and future expansion plans. On-site discussion were held to explore strategies of how to use this significant facility to optimize the entire trade chain of the Group’s coal, fluorite, and other mineral resources in order to accelerate logistic efficiency and cost-effectiveness. The initiative aims to facilitate the Group’s cross-border energy trade into a faster phase of development.

Gathering members to build a foundation for energy and chemical safety

During the trip, the leaders of the Group made a special visit to Hohhot and shared views with representatives from Iron Armor Security Management Group, the subsidiary of the Group. Leaders were briefed on its safety management layout covering “fire protection, technical safeguards, and personnel security”, with particular attention to capacity building and technological applications in areas including safety in energy and chemical plant operations, and security of cross-border trade. Leaders also emphasized the critical importance of safety management as the lifeline for business expansion and thus set up higher expectations for further improving the professional and intelligent support capabilities.

Exploring frontier, finding new opportunities in mineral trade

Subsequently, the delegation of the Group proceeded to the Erenhot-Zamyn-Uud Economic Cooperation Zone between China and Mongolia. As a major node in the Sino-Mongolian-Russian Economic Corridor under the Belt and Road initiative, this economic zone received official approval from the State Council in March, 2024, with a total planned area of 18.03 square kilometers. In the future, the zone will prioritize the development of international trade, import-export processing, cross-cultural exchanges, etc. for the purpose to become a vital region for China opening up towards the North. The leaders gained a thorough understanding of the infrastructure, policy framework, and growth potentials for cross-border energy and mineral trade in this area. Special attention was paid to the prospects, market trends, and emerging opportunities of mineral resources including fluorite to China in order to gather comprehensive and profound information to support the Group’s strategy for diversifying its cross-border mineral trade operations.

Partner synergy, accelerating collaboration across the industrial chain

During the return trip, the delegation of the leaders also visited Datang Inner Mongolia Duolun Coal Chemical Co., Ltd., an important energy partner in Eastern Inner Mongolia. They conducted on-site inspections to obtain in-depth insights into operational progress, and also extended sincere concerns to employees. They adhered to a pragmatic and efficient working style and acquired a thorough understanding of both the current status of collaborative projects and front line needs. This thoughtful engagements significantly boosted team morale and provided strong momentum for optimizing workflow and improving collaborative efficiency. 

This inspection specifically focused on the operational progress and emerging development opportunities in cross-border energy trade achieved by the Group in recent years. As an important bridgehead for China’s opening-up to the north, the Inner Mongolia Autonomous Region -- with the important areas including Darhan Muminggan Joint Banner, Erenhot, etc. -- has gained increasingly prominent strategic significance which relies on its distinctive geographical and resource advantages, under the background of the national macro-policy framework of the“Belt and Road Initiative”, the ongoing efforts to deepen frontier opening-up, the development of port economy, and the enhanced focus on energy resources security. The Group engages in in-depth alignment with local development needs and actively advances major projects on the ground. This fully demonstrates the Group’s profound insights and firm commitment to serve the national energy strategy and further contribute to the construction of Sino-Mongolian Economic Corridor.

In the future, the Group will continue to deepen its strategic collaboration with authorities at all levels in the Inner Mongolia Autonomous Region, specifically in expediting the implementation of projects in sectors including low-altitude economy, smart ports, and energy-mineral resource trades, in order to make sustained contributions to regional high-quality economic development and safeguard national energy security.